FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 2004 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : KERRY FOODS LTD (REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - TECHNICAL, ENGINEERING AND ELECTRICAL UNION DIVISION : Chairman: Mr McGee Employer Member: Mr Doherty Worker Member: Ms Ni Mhurchu |
1. Payment of Overtime at Shift Premium Rate.
BACKGROUND:
2. The case before the Court concerns a dispute between the TEEU and management at Kerry Foods regarding the payment of overtime at shift premium rate to 39 Technicians employed by the company. The Union is seeking that overtime worked on Saturday should be calculated on the basic rate plus shift premium. Management rejects the claim on the basis that the company handbook provides that people called in to do day work would be paid at the normal rate.
The dispute could not be resolved at local level and was the subject of a conciliation conference under the auspices of the Labour Relations Commission. As agreement was not reached, the dispute was referred to the Labour Court on 4th April 2005 in accordance with Section 26(1) of the Industrial Relations Act, 1990
UNION'S ARGUMENTS:
3.1 Technicians are paid shift premium for every hour of attendance during the normal working week, therefore the appropriate rate of pay to calculate overtime is the rate inclusive of shift premium.
2. General Operatives are paid overtime at the rate inclusive of shift premium.
COMPANY'S ARGUMENTS:
4.1 The employee handbook clearly states that workers called in to do overtime on day shift would be paid based on the appropriate basic rate of pay.
2. General Operatives had been paid overtime based on the shift premium rate in the past but this occurred in error and had not been repeated.
3. The claim is cost increasing and precluded under Sustaining Progress.
RECOMMENDATION:
The normal shift period for technicians employed at Shillelagh is a rotating 3 cycle shift Monday to Friday.
The Company Handbook Section 5.4 is quite clear in relation to overtime working, "all hours before or after normal shift is finished will be at T plus 1/2 on the consolidated rate. Shift employees who are called in to work on dayworkoutside their normal shift periodwill be paid at the normal rate which will not include shift premium".
The Court, therefore, does not recommend concession of the claim on foot of this condition of employment and also since it is cost increasing under Sustaining Progress.
Signed on behalf of the Labour Court
Raymond McGee
22nd August, 2005______________________
AHDeputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Andrew Heavey, Court Secretary.